Strategy

Annual Report 2020 Governance Stora Enso complies with Part of Stora Enso’s Annual Report 2020

current governance rules Sustainability and regulations, and applies best practices in the field of governance. Financials Governance Remuneration Contents Strategy Annual Report 2020 Responsibility is one of Stora Enso’s values and in governance terms it translates Sustainability into a strong commitment to sound principles of corporate governance and sustainability. Corporate Governance in Stora Enso 2020...... 2 Shareholders’ meetings...... 2 Board of Directors (Board)...... 3 Financials Board committees...... 7 Management of the Company...... 8 Internal control and risk management related to financial reporting...... 10 Members of the Board of Directors...... 12 Members of the Group Leadership Team...... 14 Appendix 1...... 17 Governance

Wood can also transform into a textile. Our dissolving pulp is used as a raw material for e.g. viscose in textile Remuneration industry, replacing cotton and fossil-based materials, such as polyester. The e-TALES by Stora Enso is a portfolio of tailor-made solutions for e-commerce packaging, designed to meet the needs of end-consumers, online retailers and logistics departments. A paperboard tube to reduce plastic in primary packaging of cosmetics, which is a new application area for our paperboard, Natura Shape™ by Stora Enso. 2 Stora Enso 2020: Governance Strategy Annual Report 2020 Corporate Governance in Stora Enso 2020 – Corporate Governance in Stora Enso 2020 2020 Enso Stora in Governance – Corporate Governance The duties of the various bodies within Stora Enso The Company’s head office is in Helsinki, Shareholders’ meetings The AGM shall be held yearly by the end of

Oyj (“Stora Enso” or the “Company”) are Finland. It also has head office functions in The Annual General Meeting of shareholders June in Helsinki, Finland. The Finnish Companies Sustainability determined by the laws of Finland and by the Stockholm, Sweden. (AGM) is held annually to present detailed Act and Stora Enso’s Articles of Association Corporate Governance Company’s corporate governance policy, which Stora Enso has one statutory auditor elected information about the Company’s performance specify in detail that the following matters have to in Stora Enso 2020 complies with the Finnish Companies Act and by the shareholders at the Annual General and to deal with matters such as adopting be dealt with at the AGM: the Finnish Securities Market Act. The rules and Meeting (AGM). the annual accounts, setting the dividend (or • presentation and adoption of the Shareholders’ meetings recommendations of the Nasdaq Helsinki Oy To the maximum extent possible, corporate distribution of funds) and its payment, and annual accounts Board of Directors (Board) and Nasdaq Stockholm AB stock exchanges are actions and corporate records are taken and appointing the Chair, Vice Chair and the members • presentation of the report of the Board of Board committees also followed, where applicable. The corporate recorded in English. of the Board of Directors as well as the Auditor. Directors and the Auditor’s report governance policy is approved by the Board of Shareholders may exercise their voting rights • use of the result and distribution of funds to Management of the Company Directors (“Board”). Objectives and composition and take part in the decision-making process the shareholders Internal control and risk management Stora Enso complies with the Finnish of governance bodies of Stora Enso by participating in shareholders’ • resolution concerning discharge of the related to financial reporting Corporate Governance Code 2020 issued The shareholders exercise their ownership meetings. Shareholders also have the right to ask members of the Board and the CEO by the Securities Market Association (the rights through the shareholders’ meetings. questions of the Company’s management and from liability Members of the Board “Code”). The Code is available at cgfinland.fi. The decision-making bodies with responsibility Board of Directors at shareholders’ meetings. • presentation of remuneration policy and/ Financials of Directors Stora Enso also complies with the Swedish for managing the Company are the Board and the Major decisions are taken by the shareholders at or report Corporate Governance Code (“Swedish Code”), CEO. The Group Leadership Team (GLT) supports Annual or Extraordinary General Meetings. At a • decision on the number and the remuneration Members of the Group with the exception of the deviations listed in the CEO in managing the Company. shareholders’ meeting, each A share and each ten of the members of the Board and the Auditor Leadership Team Appendix 1 of this Corporate Governance Report. Day-to-day operational responsibility rests R shares carry one vote. • election of the Chair, Vice Chair and other The deviations are due to differences between with the GLT members and their operation teams During the years 2020–2021 and the Covid-19 members of the Board and the Auditor Appendix 1 the Swedish and Finnish legislation, governance supported by various staff and service functions. pandemic, certain of the above mentioned rights • any other matters notified separately in the code rules and practices, and in these cases may be carried out as pre-voting and the right to notice to the meeting. Stora Enso follows the practice in its domicile. present counterproposals and ask questions in Governance bodies The Swedish Code is issued by the Swedish advance of the meeting, the answers to which will In addition, the AGM shall take decisions on Corporate Governance Board and is available at be presented on the Company’s website. matters proposed by the Board of Directors.

corporategovernanceboard.se. Shareholders’ meeting The Board of Directors convenes a A shareholder may also propose items for inclusion Governance This Corporate Governance Report is Shareholders’ Nomination Board shareholders’ meeting by publishing a notice in the agenda provided that they are within the available as a PDF document at storaenso.com/ to the meeting at the Company’s website not authority of the shareholders’ meeting and the investors/governance. more than three (3) months before the last day Board of Directors was asked to include the items Board of Directors for advance notice of attendance mentioned in in the agenda no later than on the date set out General governance issues Financial and Audit Committee the notice to the meeting and not less than three by the Company, which must be not earlier than The Board and the President and CEO are Remuneration Committee weeks before the date of the meeting. In addition, four weeks before the publication of the notice to responsible for the management of the Company. Sustainability and Ethics Committee the Company publishes details on the date and the meeting and which will be announced at the Other governance bodies have an assisting and location of the meeting, together with the address Company’s website no later than by the end of the supporting role. of the Company’s website, in at least two Finnish financial year preceding the AGM. The Stora Enso group prepares Consolidated President and CEO and two Swedish newspapers. Other regulatory An Extraordinary General Meeting of financial statements and Interim Reports Ethics and Compliance notices to the shareholders are delivered in the Shareholders is convened when considered conforming to International Financial Reporting Management Committee – same way. necessary by the Board of Directors or Standards (IFRS), and publishes Annual Reports Group Leadership TeamAuditing (GLT) when requested in writing by the Auditor or Remuneration as well as Interim Reports in Finnish, Swedish shareholders together holding a minimum of and English language. Stora Enso Oyj prepares Auditing one tenth of all the shares to discuss a specified its Financial statements in accordance with the matter which they have indicated. Finnish Accounting Act. Internal Audit External Audit 3 Stora Enso 2020: Governance Strategy The AGM has approved the Charter of the Annual Report 2020 In 2020 Shareholders’ Nomination Board and shall In 2020 Stora Enso’s AGM was held on 4 June approve any proposed amendments of the The Shareholders’ Nomination Board in 2020 comprised four members: Jorma Eloranta (Chair of 2020 in Helsinki, Finland. The AGM was Charter, other than technical updates. the Board), Hans Stråberg (Vice Chair of the Board) and two other members appointed by the two held with exceptional procedures based The Shareholder’s Nomination Board largest shareholders, namely Harri Sailas (Solidium Oy) and Marcus Wallenberg (FAM AB). Marcus on a temporary legislative act approved according to its Charter comprises four members: Wallenberg was elected Chair of the Shareholders’ Nomination Board. by the Finnish Parliament to limit the • the Chair of the Board; The main tasks of the Shareholders’ Nomination Board were to prepare the proposals for the spread of the Covid-19 pandemic. This • the Vice Chair of the Board; AGM 2021 concerning Board members and their remuneration.The Shareholders’ Nomination Board

meant that shareholders were able to • two members appointed annually by the during its working period 2020–2021 convened four (4) times. Each member of the Shareholders’ 2020 Enso Stora in Governance – Corporate Governance participate in the meeting only through two largest shareholders (one each) as of Nomination Board attended all the meetings. Jorma Eloranta and Hans Stråberg did not participate

voting in advance as well as making 31 August. in the preparations or the decision-making regarding Board remuneration. Sustainability counterproposals and presenting In its proposal for the AGM 2021, the Shareholders’ Nomination Board proposes that of the Corporate Governance questions in advance. The AGM had The Board through its Chair shall ensure that current members of the Board of Directors – Håkan Buskhe, Elisabeth Fleuriot, Hock Goh, Mikko in Stora Enso 2020 originally been called to be held on 19 the annual appointment of the members to the Helander, Christiane Kuehne, Antti Mäkinen and Richard Nilsson be re-elected members of the March 2020, however, had to be cancelled Shareholders’ Nomination Board is carried out Board of Directors until the end of the following AGM and that Helena Hedblom and Hans Sohlström Shareholders’ meetings from being held at such date due to the as set out in the Charter as decided by the AGM. be elected new members of the Board of Directors for the same term of office. It is proposed that Board of Directors (Board) Covid-situation with following restrictive The Board Chair shall annually convene the first Antti Mäkinen be elected Chair of the Board and Håkan Buskhe Vice Chair of the Board. Jorma Board committees national measures arising in Finland meeting of the Shareholders’ Nomination Board, Eloranta and Hans Stråberg had informed the Shareholders’ Nomination Board that they were during the same week. Of all issued and which shall elect its Chair amongst its members not available for re-election. The Shareholders’ Nomination Board also proposes that the annual Management of the Company outstanding shares in the Company a total that annually are appointed by the Company’s two remuneration for the Chair, Vice Chair and members of the Board of Directors as well as for the Internal control and risk management of 59.3% of all shares (59.4% in 2019) largest shareholders. Chairs and members of Board Committees be maintained at the 2020 level. related to financial reporting and a total of 80.7% of all votes (80.9%) The Shareholders’ Nomination Board shall For the purpose of carrying out its tasks, the Shareholders’ Nomination Board has received were represented at the meeting, with serve until further notice, unless the AGM decides the results of the yearly evaluation of the Board of Directors as well as the assessment of each Members of the Board 91.4% of all A shares (91.6%) and 50.1% otherwise. Its members are elected annually and director’s independence of the Company and of significant shareholders. The Board performance Financials of Directors of all R shares (50.1%) represented. All their term of office shall end when new members evaluation material has also included a report on Board member interviews by the Chair of the Board members, President and CEO, are elected to replace them. Board of Directors. The Shareholders’ Nomination Board has taken the results of the Board Members of the Group CFO and EVP Legal as well as the evaluation and the requirements relating to director independence into account in its work. The Leadership Team Company’s Auditor were present at the Board of Directors Shareholders’ Nomination Board further considers the principles of the Board Diversity Policy in meeting via remote access. The AGM in Stora Enso is managed by the Board acting in preparing its proposal. The Shareholders’ Nomination Board has a Charter that defines its tasks and Appendix 1 addition to regular matters authorised accordance with the Finnish Companies Act as responsibilities in more detail. the Board to decide on a share issue or well as other applicable legislation. share repurchase covering a maximum According to the Company’s Articles of Remuneration of 2 000 000 R shares in order to carry Association, the Board comprises six to eleven No remuneration is paid for members of the Shareholders’ Nomination Board as decided by the AGM. out the Company’s compensation or ordinary members appointed by the shareholders The Shareholders’ Nomination Board Charter is presented at storaenso.com/investors/governance.

remuneration schemes. No Extraordinary at the AGM for a one-year term. The majority Governance General Meetings of Shareholders were of the directors shall be independent of the Composition of the Shareholders’ Nomination Board in 2020 convened in 2020. Company. In addition, at least two of the directors comprising this majority shall be independent Jorma Eloranta¹, member Hans Stråberg¹, member of significant shareholders of the Company. Chair of Stora Enso’s Board of Directors Vice Chair of Stora Enso’s Board of Directors A significant shareholder is a shareholder Marcus Wallenberg, Chair Harri Sailas, member Shareholders’ Nomination Board that holds at least 10% of all the Company’s Chair of Stora Enso’s Shareholders’ Nomination Member of Stora Enso’s Shareholders’ Nomination Board. Born 1956. B.Sc. (Foreign Service). Chair of Board. Born 1951. M.Sc. (Econ.). Chair of the Board of Shareholders at the Annual General Meeting shares or the votes carried by all the shares or a the Board of Directors of FAM AB. Directors of Solidium Oy. (AGM) have established a Shareholders’ shareholder that has the right or the obligation to 1 Nomination Board to exist until otherwise purchase the corresponding number of already Curriculum vitae of Jorma Eloranta and Hans Stråberg, see page 12. decided and to annually prepare proposals issued shares. The independence is evaluated to the shareholders’ meeting concerning: yearly in accordance with the Finnish Corporate • the number of members of the Board; Governance Code. • the Chair, Vice Chair and other members All directors are required to deal at arm’s (including the remuneration of the members of The Board is responsible for overseeing Remuneration of the Board; length with the Company and its subsidiaries the Board committees). management and for the proper organisation • the remuneration for the Chair, Vice Chair and to disclose circumstances that might be The Board supervises the operation and of the Company’s operations. It is likewise and members of the Board; perceived as a conflict of interest. management of Stora Enso and decides responsible for overseeing the proper • the remuneration for the Chair and The shareholders at the AGM decide on significant matters relating to strategy, supervision of accounting and control of members of the committees of the Board. the remuneration of the Board members investments, organisation and finance. financial matters. 4 Stora Enso 2020: Governance Strategy The Board has defined a working order, the Directors shall be nominated on the basis Annual Report 2020 principles of which are published on page 6 of this of their merits and with consideration of the In 2020 report and on the Company’s website. benefits of diversity and the principles that the The Board had nine members at the end of 2020, all of them independent of the Company. The AGM elects the Chair and Vice Chair of the Company refers to as Diversity of Thought, The Board members are also independent of significant shareholders of the Company with Board. Should the Chair or Vice Chair of the Board including but not limited to criteria of diversity the exception of Richard Nilsson (Investment Manager at FAM AB), Antti Mäkinen (CEO of Solidium) of Directors resign or become otherwise unable to such as gender, age, nationality and individual and Håkan Buskhe (CEO of FAM AB). Hans Stråberg having served on the Board for more than ten act as Chair or Vice Chair during their term of office, differences both in professional and personal years, is based on an overall evaluation concluded independent of the Company. the Board may elect a new Chair or Vice Chair from experiences. The merits of directors include The Board members nominated at the AGM in 2020 were Jorma Eloranta (Chair), Hans Stråberg

among its members for the remaining term of office. knowledge of the operational environment of the (Vice Chair), Håkan Buskhe, Elisabeth Fleuriot, Hock Goh, Mikko Helander, Christiane Kuehne, 2020 Enso Stora in Governance – Corporate Governance The Board annually agrees on focus areas Company, its markets and of the industry within Antti Mäkinen and Richard Nilsson. The Board convened 14 times during the year. The members’

for the Board’s work during the upcoming year which it operates, and may include elements participation rate in meetings amounted to 98%. Sustainability constituting the Board Agenda. such as financial, sustainability or other specific In its meeting after the AGM on 4 June 2020 the Board discussed focus areas for its work. Corporate Governance The Board appoints the CEO, Chief Financial competency, geographical representation and The Board agreed that these areas for the year to come should be (1) Strategy, and (2) Operational in Stora Enso 2020 Officer (CFO) and other GLT members. The Board business background as required in order to performance in the present market situation. Various matters have been discussed, reviewed and approves the main organisational structure of achieve the appropriate balance of diversity, decided in the Board based on the agenda. Further, the CEO has on a monthly basis reported Shareholders’ meetings the Company. skills, experience and expertise of the Board progress on the same to the Board. Board of Directors (Board) The Board reviews and determines the collectively. The foremost criteria for nominating The Board has conducted an internal self-evaluation relating to the Board’s work, which together with Board committees remuneration of the CEO, which is described director candidates shall be the candidates’ skills the evaluation of the Board members’ independence has been provided to the Shareholders’ Nomination in the Annual Report and on the Company’s and experiences, industrial knowledge as well as Board for information. The Board performance evaluation has also included Board member interviews Management of the Company website. The Board and each of its Committees personal qualities and integrity. The composition performed by the Board Chair, the result of which has been reported to the Shareholders’ Nomination Internal control and risk management evaluates its performance annually. The results of of the Board as a whole shall reflect the Board. Overall assessment of the Board’s work and performance – even during Covid-19 pandemic – has related to financial reporting the Board’s evaluation are reviewed by the Board requirements set by the Company operations and been positive. The Board has worked according to all applicable rules and regulations. For detailed and shall be communicated to the Shareholders’ its development stage. The number of directors information about the Board members and their share ownerships, see pages 12–13. Members of the Board Nomination Board, which shall take the results and the composition of the Board shall be such Financials of Directors of the Board evaluation into account in its work. that they enable the Board to see to its duties Remuneration The Board also reviews the corporate governance efficiently. Both genders shall be represented Board remuneration is decided by the AGM each year. The AGM 2020 decided on an annual Members of the Group policy annually and amends it when required. on the Board and the aim of the Company remuneration of EUR 197 000 for the Board Chair, EUR 112 000 for the Vice Chair and EUR 76 000 Leadership Team The Board’s work is supported through shall be to strive towards a good and balanced for other members, which is paid partly in Company shares as set out in the resolution of the AGM. its committees – the Financial and Audit gender distribution. In addition, remuneration may be paid based on Board Committee memberships. Appendix 1 Committee, the Remuneration Committee and The Shareholders’ Nomination Board has the Sustainability and Ethics Committee. Each taken the principles of the policy into account in Board Diversity in 2020 committee’s Chair and members are appointed by its work. The Shareholders’ Nomination Board The Board has during 2020 been composed of nine members representing five different the Board annually. finds that the composition of the Board as nationalities and a diverse range of experience from global companies and industrial sectors. The Board meets at least five times proposed to the AGM 2021 reflects diversity and All Board members have university degrees from different fields like engineering, technology, finance

a year. The Board members meet regularly a good variety of skills and experiences among and law. All members have vast experience from global companies either from earlier operative Governance without management in connection with the Board members following the principles positions or through board memberships. A detailed description of the educational and professional the Board meetings. set out in the Board Diversity Policy. The aim backgrounds of the Board members can be found on pages 12–13. of the Shareholders’ Nomination Board going The Board members represent a good knowledge of the operational environment of the Company as Board Diversity Policy forward is to continuously evaluate the long-term well as particular experience of amongst others sustainability, financial competence and the business The Company has established a Board Diversity competencies that would benefit the Board work environment relevant to the operations of the Company. The age of the Board members during 2020 Policy setting out the principles concerning as well as ensure that a Diversity of Thought is varied from 49 years to 69 years and the Board was composed of two women and seven men. the diversity of the Board. The Shareholders’ maintained on the Board. The aim is to maintain The Shareholders’ Nomination Board has in 2020 considered its previous evaluation of competencies Nomination Board shall in connection with or further strengthen a good and balanced that may be further strengthened in the long term Board succession planning. In its proposal for the AGM preparing its proposals for the nomination of gender distribution. 2021 the Shareholders’ Nomination Board has proposed a Board composition that includes three women directors to the AGM consider the principles of The Board Diversity Policy is presented at and six men in the age range of 47 years to 65 years and representing a total of five different nationalities. the Company’s Board Diversity Policy. storaenso.com/investors/governance. The proposed new Board members Helena Hedblom and Hans Sohlström would bring strong leadership and management as well as industrial competence and experience to the Board and would in the view of the Shareholders’ Nomination Board add strong value to the Board as a collective. Remuneration The aim of the Shareholders’ Nomination Board going forward is to continuously evaluate the long-term competencies that would benefit the Board work as well as ensure that a Diversity of Thought is maintained on the Board. The aim is to maintain or further strengthen a good and balanced gender distribution. 5 Stora Enso 2020: Governance Strategy Board skills matrix Annual Report 2020 Independent of Committee memberships 2020 Other current Name Director since Principal skills Company Owners FAC SECo RemCo listed boards* Jorma Eloranta 2016 Global Business, Business Leadership, Operative Management, Governance Member Chair Hans Stråberg 2009 Global Business, Business Leadership, Operative Management, Industry Member 3 Håkan Buskhe 2020 Innovation, Global Business, Business Leadership, Industry Member 2 Elisabeth Fleuriot 2013 Global Business, Operative Management, Business Leadership, Sustainability Member 1 Governance Hock Goh 2012 Global Business, Operative Management, Business Leadership, Sustainability Member 3 2020 Enso Stora in Governance – Corporate

Mikko Helander 2019 Global Business, Business Leadership, Operative Management, Industry Member Sustainability Christiane Kuehne 2017 Global Business, Operative Management, Business Leadership, Sustainability Chair Corporate Governance Antti Mäkinen 2018 Finance, Operative Management, Governance Member 2 in Stora Enso 2020 Richard Nilsson 2014 Finance, Industry, Governance, Global Business Chair Shareholders’ meetings yes no

Board of Directors (Board) The table sets out the primary skills of each Board member. The fact that an item is not highlighted for a Board member does not mean that such member does not possess that qualification or skill. *at 31 December 2020 Board committees Management of the Company Internal control and risk management related to financial reporting Principal skills Board diversity in figures

Members of the Board Financials Innovation of Directors Tenure Gender Age* Finance Number of persons Number of persons Number of persons Global Business 1 1 1 Members of the Group Sustainability 2 1–2 years 2 Male 40–50 Leadership Team Operative Management 3–5 years Female 51–60 Governance 6–9 years 61–65 ≥10 years >65 Appendix 1 Business Leadership 3 3 Industry *at 31 December 2020 Number of Board members 0 2 4 6 8 4 Principal skills 3 7 Governance

Principal skills Legend Exact value Male 7

Female 2 Legend Exact value Legend Exact value Innovation 1 Finance 2 1–2 years 2 40–50 1 Global Business 8 3–5 years 3 51–60 3 Sustainability 3 6–9 years 3 61–65 4 Operative Management 7 ≥10 years 1 >65 1 Governance 3 Business Leadership 7 Industry 4 Remuneration

1

1 1 1 6 Stora Enso 2020: Governance Strategy Working order of the Board Information – decisions concerning the basic top • economic and financial matters: Annual Report 2020 The working order describes the working • the Board shall receive information monthly management organisation; – approval and review of annual budget; practices of the Board. A summary of key concerning financial performance, the market – decisions concerning the composition of – approval of loans and guarantees, excluding contents is presented below. situation and significant events within the the GLT; intra-group loans and guarantees; Company’s and the group’s operations; – remuneration of the CEO; – approval of share repurchases, if any, as Board meetings • Board members shall be informed about all – appointment and dismissal of the CEO well as report of share repurchases; • occur regularly, at least five times a year, significant events immediately. and approval of heads of divisions and – approval of Group Risk Management according to a schedule decided in advance; other members based on CEO’s proposal Policy according to Financial and Audit

• special Board meetings, if requested by a Matters to be handled at Board meetings belonging to the GLT; Committee’s proposal; 2020 Enso Stora in Governance – Corporate Governance Board member or the CEO, be held within 14 • matters specified by the Finnish – appointment of Committee Chairs and

days of the date of request; Companies Act; members; • investment matters: Sustainability • agenda and material shall be delivered to • approval of business strategy; – remuneration of GLT members based on – approval of investment policy of the group; Corporate Governance Board members one week before the meeting. • organisational and personnel matters: CEO’s proposal; – approval of major investments; in Stora Enso 2020 – review talent management and succession – approval of major divestments; planning process (in particular CEO); – receive relevant analyst meeting Shareholders’ meetings presentations and analyst reports; Board of Directors (Board) Board committees • other matters: The Board of Directors’ and management’s annual working cycle – report of the CEO on the group’s operations; Management of the Company – reports of the Remuneration Committee, Internal control and risk management Board meeting Ethics and Compliance Financial and Audit Committee and related to financial reporting SECo, FAC, RemCo Management Committee meeting Sustainability and Ethics Committee by the chairs of the respective committees. The Members of the Board Inside Committee meeting Inside Committee meeting recommendations and proposals by the Financials of Directors Shareholders’ Nomination Board shall be Ethics and Compliance Board meeting (Full year and reported to the Board by the Chair of the Members of the Group Management Committee meeting Q4 + annual governance update) Board; Leadership Team SECo, FAC, RemCo – approval and regular review of the Board meeting (Q3) Corporate Governance Policy and the Appendix 1 FAC, RemCo Inside Committee meeting charters of the Board Committees; – annual self-assessment of Board work and Inside Committee meeting Annual General Meeting performance as well as independence; Q4 Q1 Board meeting SECo • other matters submitted by a member of the Board meeting (strategy) Board or the CEO. Governance SECo, FAC

Inside Committee meeting Q3 Q2 Ethics and Compliance Ethics and Compliance Management Committee meeting Management Committee meeting

Board meeting (Q2) Inside Committee meeting FAC Board meeting (Q1) Inside Committee meeting FAC, RemCo Remuneration

Quarterly Monthly SECo = Sustainability and Ethics Committee - Meetings with auditors - GLT meetings FAC = Financial and Audit Committee - Divisional Business & Innovation Review meetings - Investment Working Group meetings RemCo = Remuneration Committee 7 Stora Enso 2020: Governance Strategy Board committees The Remuneration Committee also reviews the Sustainability and Ethics Committee Annual Report 2020 The tasks and responsibilities of the Board In 2020 Remuneration Report and the Remuneration The Board has a Sustainability and Ethics committees are defined in their charters, which The Financial and Audit Committee Policy. There is a Remuneration Committee Committee which is responsible for overseeing are approved by the Board. All the committees comprised four members in 2020: Richard representative present at the AGM to answer the Company’s sustainability and ethical business evaluate their performance annually, are allowed Nilsson (Chair), Jorma Eloranta, Elisabeth questions relating to the management conduct, its strive to be a responsible corporate to use external consultants and experts when Fleuriot and Hock Goh.1 The Committee remuneration. The Board appoints the CEO and citizen, and its contribution to sustainable necessary and shall have access to all information convened eight times. The members’ approves his/her remuneration as well as the development. The Committee regularly reviews needed. Each committee’s Chair and members participation rate in meetings amounted nomination and compensation of other members Stora Enso’s Sustainability Strategy and Ethics

are appointed by the Board annually. to 96%. of the Group Leadership Team (GLT). and Compliance Strategy and, in accordance with 2020 Enso Stora in Governance – Corporate Governance The main task of the Committee is The Committee comprises three to four Stora Enso’s corporate governance structure,

Financial and Audit Committee to support the Board in maintaining the Board members, who are independent and not oversees their effective implementation as well Sustainability The Board has a Financial and Audit Committee integrity of Stora Enso’s financial reporting affiliated with the Company. The Remuneration as reviews the Company’s external sustainability Corporate Governance to support the Board in maintaining the integrity and the Board’s control functions. To fulfil Committee meets regularly, at least once a reporting. In its work the Committee takes into in Stora Enso 2020 of the Company’s financial reporting and the its task the Committee regularly reviews year. The Chair of the Remuneration Committee consideration Stora Enso’s Purpose and Values Board’s control functions. It regularly reviews the Company’s system of internal control, presents a report on each Remuneration as well as the Stora Enso Code and Business Shareholders’ meetings and monitors the system of internal control management and reporting of financial Committee meeting to the Board. The tasks and Practice Policy. Board of Directors (Board) and internal audit as well as its efficiency, and enterprise risks as well as the audit responsibilities of the Remuneration Committee The Committee comprises two to four Board Board committees management and reporting of financial risks, the process. Furthermore, the Committee are defined in its charter, which is approved by members who are nominated annually by the audit process, the Company’s procedures for has increased its focus on IT security and the Board. Remuneration Committee members Board. The members are independent of and Management of the Company monitoring related party transactions and the closely monitors related risks. A review may receive remuneration solely based on their not affiliated with Stora Enso. At least one Internal control and risk management annual corporate governance statement. It makes of the forest land valuation method has role as directors. The compensation is decided by Committee member is expected to have sufficient related to financial reporting recommendations regarding the appointment been in focus during the year as well as the shareholders at the AGM. prior knowledge and experience in handling of external auditor for the Parent Company and internal controls and cyber security. The sustainability and ethics matters. Members of the Board the main subsidiaries and monitors the auditor’s Committee further reviews relevant material The Committee meets regularly, at least two Financials of Directors independence. compliance related cases relating to the times a year. The Chair of the Committee presents The Committee comprises three to five integrity of financial reporting or fraud In 2020 a report on each Sustainability and Ethics Members of the Group Board members, who are independent and not investigations that have been reported to The Remuneration Committee comprised Committee meeting to the Board. The tasks and Leadership Team affiliated with the Company. The members of Internal Audit and Ethics and Compliance three members in 2020. The members were responsibilities of the Committee are defined the Committee must have sufficient expertise during the year. Jorma Eloranta (Chair), Antti Mäkinen and in its charter, which is approved by the Board. Appendix 1 and experience to be able to challenge and Hans Stråberg. The Committee convened Sustainability and Ethics Committee members evaluate the Company’s internal accounting Remuneration six times. The members’ participation rate may receive remuneration solely based on their function and internal and external audit functions. Chair EUR 21 200 per annum and in meetings amounted to 100%. role as directors. The compensation is decided by At least one member must have the relevant member EUR 14 800 per annum as The main task of the Committee is the shareholders at the AGM. expertise in accounting and auditing as required decided by the AGM. to recommend, evaluate and propose

by applicable regulation. The Financial and The Financial and Audit Committee executive nominations and remunerations, Governance Audit Committee meets regularly, at least four Charter is presented at storaenso.com/ review the Company’s remuneration times a year. The Committee members meet the investors/governance. reporting, and to make recommendations external and internal auditors regularly without to the Board relating to management the management being present. The Chair of the 1 The Committee prior to the AGM on 4 June 2020 remuneration in general, including short comprised the following three members: Richard Committee presents a report on each Financial Nilsson (Chair), Jorma Eloranta and Elisabeth Fleuriot. and long term incentive programmes. The and Audit Committee meeting to the Board. The Committee has further reviewed the external tasks and responsibilities of the Financial and reporting on executive remuneration and Audit Committee are defined in its charter, which in particular the new formatted Stora Enso is approved by the Board. Financial and Audit Remuneration Committee Remuneration Report, which will be Committee members may receive remuneration The Board has a Remuneration Committee presented to the AGM 2021. solely based on their role as directors. The which is responsible for recommending compensation is decided by the shareholders and evaluating executive nominations and Remuneration at the AGM. remunerations (including reviewing and Chair EUR 10 600 and member EUR 6 400 Remuneration recommending the CEO’s remuneration), per annum as decided by the AGM. evaluating the performance of the CEO, and The Remuneration Committee Charter making recommendations to the Board relating is presented at storaenso.com/investors/ to management remuneration issues generally, governance. including equity incentive remuneration plans. 8 Stora Enso 2020: Governance Strategy Ad-Hoc Strategy Committee Management of the Company Annual Report 2020 In 2020 The Board agreed to form a temporary Ad-Hoc The Sustainability and Ethics Committee comprised three members in 2020: Christiane Kuehne Committee to discuss, prepare and assist Chief Executive Officer (CEO) (Chair), Håkan Buskhe and Mikko Helander.1 The Committee convened four times. The members’ Management in making a strategy proposal that The CEO is in charge of the day-to-day participation rate in meetings amounted to 100%. was brought to the Board for approval. management of the Company in accordance with The Committee in each of its meetings reviews the areas relevant for the Committee’s work, the Finnish Companies Act and the instructions including safety and sustainability matters as well as ethics and compliance matters. The Committee and orders issued by the Board. It is the duty of further reviews safety status and sustainability and ethics and compliance KPI’s, sustainability the CEO to ensure that the Company’s accounting

reporting as well as relevant sustainability and safety initiatives and processes carried out during the In 2020 principles comply with the law and that financial 2020 Enso Stora in Governance – Corporate Governance year. An important part of the Committee’s work consists of overseeing reported compliance cases. The Ad-Hoc Strategy Committee comprised matters are handled in a reliable manner.

four members in 2020: Jorma Eloranta The Board approves the main organisation, Sustainability Remuneration (Chair), Håkan Buskhe, Antti Mäkinen and including the functions reporting to the CEO. Corporate Governance Chair EUR 10 600 and member EUR 6 400 per annum as decided by the AGM. Annica Bresky. The Committee convened At the end of 2020 the CEO was directly in charge of in Stora Enso 2020 The Sustainability and Ethics Committee Charter is presented at storaenso.com/investors/ four times. The members’ participation rate the following functions, which also reported to her: governance. in meetings amounted to 100%. • Divisions (Packaging Materials, Packaging Shareholders’ meetings The Committee’s role was advisory and Solutions, Biomaterials, Wood Products, Board of Directors (Board) 1 The Committee prior to the AGM on 4 June 2020 comprised the following three members: Christiane Kuehne (Chair), Hock it had no decision-making power in respect Forest and Paper) Goh and Göran Sandberg. Board committees of the strategic issues discussed. • CFO (responsible for Accounting, Controlling, Efora, Enterprise Risk Management, Internal Management of the Company Remuneration Audit, Investor Relations, Tax, Treasury) Internal control and risk management No separate remuneration was paid to the • IT and Digitalisation related to financial reporting Ad-Hoc Strategy Committee members. • Human Resources • Legal, General Counsel Members of the Board • Communications and Marketing Financials of Directors • Sustainability • Sourcing and Logistics Members of the Group • Strategy and Innovation (responsible for Leadership Team Group Leadership Team as at 31 December 2020 Innovation and R&D, special strategic projects, Corporate Finance and M&A, Investment Appendix 1 Process, Energy Services) CFO, Deputy to President and CEO the CEO, Country The CEO is also responsible for preparatory work Annica Bresky Manager Finland with regard to Board meetings. In addition, the Seppo Parvi CEO supervises decisions regarding key personnel

and other important operational matters. One of Governance the GLT members acts as deputy to the CEO as Packaging Packaging Biomaterials Wood Products2 Forest Paper defined in the Finnish Companies Act. Materials Solutions1 Markus Lars Völkel Jari Suominen Kati ter Horst Hannu Kasurinen David Ekberg Mannström Group Leadership Team (GLT) The GLT is chaired by the CEO. The GLT members are appointed by the CEO and approved by the Board. At the year end 2020, the fifteen GLT Communications HR3 IT and Legal, Country Sourcing Strategy Sustainability6 members were the CEO, the CFO, the heads of and Marketing Katariina Kravi Digitalisation4 Manager Sweden and Logistics and Innovation5 Annette Stube the divisions, Communications and Marketing, Ulrika Lilja Teemu Salmi Per Lyrvall Johanna Tobias Bäärnman HR, IT and Digitalisation, Legal (who is also Hagelberg General Counsel), Sourcing and Logistics, Strategy and Innovation, and Sustainability. The GLT assists the CEO in supervising the Remuneration 1 Acting Head of Packaging Solutions until 31 March 2020. Member of GLT as of 1 April 2020. Group and divisional performance against agreed 2 Seppo Toikka, acting Head of Wood Products until 30 June 2020, not a member of GLT. targets, portfolio strategy, ensuring the availability 3 Malin Bendz, EVP HR, was a member of GLT until 15 January 2020. Per Lyrvall, acting Head of HR 16 January–31 August 2020. and value-creating allocation of Group funds and 4 Member of GLT as of 1 November 2020. 5 Member of GLT as of 1 November 2020. capital, and statutory, governance, compliance 6 Noel Morrin, EVP Sustainability, was a member of GLT until 31 August 2020. and listing issues and policies. The GLT meets regularly every month, and as required. 9 Stora Enso 2020: Governance Strategy the innovation and the digitalisation fund, monitors the auditor selection process and gives and site levels and key strategic investments Annual Report 2020 In 2020 where divisions make proposals, which are then its recommendation as to who should serve as in different divisions. As part of process audits The GLT had 15 members at the end of reviewed and decided by IWG. auditor to the Board for the purpose of making and also separately, Internal Audit reviews IT 2020. The GLT convened 12 times during At Stora Enso, sustainability work is led by the the proposal to the shareholders at the AGM. The and cyber security management throughout the year. Important items on the agenda in Executive Vice President (EVP), Sustainability, auditor shall be an authorised public accounting the company on a regular basis. Internal Audit 2020 were Covid-19 related scenarios and who reports directly to the CEO and is part of the firm, which appoints the responsible auditor. co-operates with other assurance functions mitigation actions, safety issues, financial Group Leadership Team (GLT). The CEO holds during the year in order to avoid overlapping with performance, strategy and transformation, the ultimate responsibility for the successful Auditor’s fees and services assurance activities and to be able to identify

sustainability, customer-driven innovation, implementation of our sustainability strategy. gaps. Internal audit executes during the year 2020 Enso Stora in Governance – Corporate Governance reviewing the operations of the Group, Everyday sustainability topics are managed by Year Ended 31 December possible special engagements based on separate

planning and following up investment and the Group Sustainability team together with the EUR million 2020 2019 request and agreed with management and Sustainability other strategic projects, digitalisation, Human Resources, Legal, Wood Supply, Group Audit fees 4 4 Financial and Audit Committee. Financial and Corporate Governance and preparatory work for Board meetings. OHS, and Sourcing and Logistics functions, as Audit-related 0 0 Audit Committee approves Internal Audit Annual in Stora Enso 2020 The GLT further held a total of 26 Covid- well as the company’s six business divisions. Tax fees 0 0 Plan and Charter. 19 related additional meetings as well Each of the business divisions has its own Head Shareholders’ meetings Other fees 0 0 as 6 additional meetings to prepare the of Sustainability, who reports directly to the Total 4 4 Ethics and Compliance Management Committee Board of Directors (Board) Company’s new strategy. EVP of the division. Other key functions, such Stora Enso’s Ethics and Compliance Management Board committees as Sourcing and Logistics, have sustainability Committee supervises and monitors legal and organisations to support their management regulatory ethics and compliance related policies, Management of the Company teams. The everyday implementation of implementation and maintenance of processes Internal control and risk management Divisions and other functions Stora Enso’s Sustainability Agenda is the In 2020 and tools regarding the same, and concrete related to financial reporting The divisions are responsible for their respective responsibility of line management supported by The Board in 2020 on the recommendation compliance issues and cases in the field of line of business and are organised and resourced functional experts at all levels. of the Financial and Audit Committee business practices. The Ethics and Compliance Members of the Board to deal with all business issues. The CEO steers Stora Enso’s sustainability work is steered proposed that PricewaterhouseCoopers Management Committee consists of the General Financials of Directors the divisions through quarterly and as needed in by the Sustainability Council, which includes Oy be re-elected auditor by the AGM Counsel (Chair), CEO, CFO, Head of HR, Head Business Performance Reviews as well as the members from the business divisions, Sourcing 2020 for the third year as the Company’s of Communications and Marketing, Head of Members of the Group GLT meetings. and Logistics function, and subject matter auditors. The AGM 2020 elected Sustainability and Head of Internal Audit with the Leadership Team Strategic investment projects are approved experts from the Group Sustainability team. PricewaterhouseCoopers Oy as auditor Legal Counsel dedicated to compliance matters on group level following the mandate by the Chaired by the EVP, Sustainability, its work for a term of office expiring at the end of being the secretary. The Ethics and Compliance Appendix 1 CEO and Board of Directors. Each Division will in involves sharing good practices and identifying the AGM 2021. Management Committee shall convene at least addition be granted an annual allocation intended longer-term opportunities and challenges four times every year. for smaller annual replacement and development that may require a Group-wide response. needs in relation to investments. All projects are The Sustainability Council met ten times during Ethics and Compliance reviewed by the Investment Working Group (IWG) 2020. The GLT is periodically informed of Internal Audit Stora Enso is committed to taking responsibility

comprising group and division representatives specific sustainability developments, as is the Stora Enso’s Internal Audit is an independent, for its actions, to complying with all applicable Governance and headed by the CFO (also the allocation Board of Directors when appropriate, through its objective assurance and consulting activity laws and regulations wherever it operates, and proposals are made by IWG). Sustainability and Ethics Committee. designed to add value and improve the to creating and maintaining ethical relationships Innovation and R&D is organised in two The Company has user boards for certain operations of Stora Enso. Internal Audit helps with its customers, suppliers and other structures. On group level the long term research cross-functional service functions (Logistics, the organisation to accomplish its objectives by stakeholders. The Stora Enso Code is a single and company wide collaborations with academia IT, Energy and parts of Wood Supply). These providing a systematic, disciplined approach set of values defined for all employees, to provide and external R&D providers are managed by a user boards consist of representatives of the to evaluate and improve the effectiveness guidance on the Company’s approach to ethical small team of experts. The innovation related divisions using these services. The user boards of internal control, risk management and business practices, environmental values, and to current and future offering of the businesses supervise and steer the operations of the governance processes. human and labour rights. These same values are executed within the divisions to drive market respective functions. Internal Audit reports regularly about the are applied wherever Stora Enso operates. In and customer focus. The progress of innovation The Company has established proper status of the audits and audit findings to the 2011 the company established its Business efforts is evaluated in quarterly Business and disclosure policies and controls, and process for Financial and Audit Committee, Board of Practice Policy to complement the Code, which Innovation Reviews with the CEO, CFO, Head quarterly and other ongoing reporting. Directors. Administratively Internal Audit reports further sets out Stora Enso’s approach to ethical of Innovation and R&D, the division Head and to the CFO. The Financial and Audit Committee business practices and describes the processes Remuneration the division Innovation Head. The portfolio of Other supervisory bodies and norms approves the appointment of the Head of Internal for reporting on violations thereof. The Business potential transformational innovation projects is Audit following the recommendation by the CEO. Practice Policy was revised in 2016 in order to reviewed on a quarterly basis by the CEO, CFO, Auditor Internal Audit plan is risk and assurance-based streamline and simplify policies and guidelines. CSIO and the heads of divisions. Innovation The AGM annually elects one auditor for and focuses to the core-processes in Stora Enso Continuous e-learning, communication, face-to- funding is supported from group level by both Stora Enso. The Financial and Audit Committee value chain, supporting processes at the Group face training and sign-off are organised in order 10 Stora Enso 2020: Governance Strategy to ensure that these are part of the everyday and Marketing, IR and Legal for the purpose of Guidelines for Related Party Transactions Control environment Annual Report 2020 decision-making and activities at Stora Enso. continuously reviewing pending projects and the The principles applicable to monitoring of Stora Enso’s control environment sets the tone of Stora Enso uses an index to monitor and existence of inside information in the Company. Stora Enso related party transactions are set the organisation providing the company purpose evaluate employee perceptions of the work on The Company expects the management and out in Stora Enso’s Guideline for Related Party and values, policies, processes and structures topics covered by the Stora Enso Code. The index all its employees to act in the way required of Transactions. The Guideline defines Stora Enso as a foundation for carrying out internal control is based on employee responses to related an insider. All unpublished information relating related parties and sets out the decision-making across the organisation. Stora Enso has a formal questions in the annual employee survey. After to the Company’s present and future business order and principles for monitoring related Code that sets forth its rules. To complement the a slight decrease with one unit in 2019 (84) the operations shall be kept strictly confidential. party transactions including a description Code, Stora Enso has a Business Practice Policy,

index increased to 86 in 2020. The target is to Persons discharging managerial of Stora Enso internal controls with regards which further sets out Company’s approach to 2020 Enso Stora in Governance – Corporate Governance continue the positive trend and continued efforts responsibilities (PDMR’s) in Stora Enso are the to related party transactions. Information on ethical business practices and describes the

will therefore be put on communication and members of the Board, the CEO and the CFO, as material transactions with related parties is set processes for reporting on violations thereof. All Sustainability training in 2021. well as other members of the Group Leadership out in Note 31 of Stora Enso’s consolidated employees are expected to comply with the Code Corporate Governance In order to enhance the supervision and Team (GLT). PDMR’s, as well as their closely financial statements. and the Business Practice Policy. Continuous in Stora Enso 2020 monitoring of legal and regulatory compliance related persons, are subject to a duty to notify the Stora Enso business activities may include e-learning, face-to-face training and sign-off are related policies and issues, Stora Enso Company and the Finnish Financial Supervisory regular or less frequent transactions with related organised in order to ensure that these are part Shareholders’ meetings has established its Ethics and Compliance Authority of all transactions with the securities of parties. Transactions with related parties shall of the everyday decision-making and activities at Board of Directors (Board) Management Committee. In addition, Compliance the Company. always promote the purpose of the Company and Stora Enso. Board committees Forums, comprising of heads of key functions, in The Company also keeps a list of persons that be concluded on acceptable terms and in the The Board, supported by the Financial and divisions, group functions and Chinese operations are involved in the preparation of interim reports interest of the Company, as well as in compliance Audit Committee, has the overall responsibility Management of the Company play an important role in risk assessing and and financial results, which is approved by the with prevailing regulation. Internal controls for setting up an effective system of internal Internal control and risk management monitoring compliance within their respective General Counsel (Closed Period List). Persons have been designed to ensure that related party control and risk management. Responsibility for related to financial reporting areas. The Compliance Forums use the Ethics and included in the list are e.g. members of the Division transactions are duly monitored and identified. maintaining effective risk management and internal Compliance Self-Assesment Tool (T.E.S.T.) to give management teams, members of Financial Related party transactions, which are part of controls over financial reporting is delegated Members of the Board them a better overview of the progress their units Communications and Investor Relations as well as the ordinary course of business and undertaken to the CEO. The GLT and senior management Financials of Directors are making in policy implementation, compliance the heads and certain team members of Treasury, on market terms are approved in accordance issue corporate guidelines in accordance with measures taken, and possible gaps and risks in Group Accounting and Controlling and Legal. with the Company’s internal guidelines. Any Stora Enso’s policy management process. These Members of the Group compliance. Results of the T.E.S.T. are covered in Persons, who participate in the development transaction which would not meet these terms guidelines stipulate responsibilities and authority Leadership Team Compliance Forums and action plans developed and preparation of a project that constitutes must be reported to the Financial and Audit and constitute the control environment for specific and followed up accordingly. inside information, are considered project Committee and approved by the Board of areas, such as finance, accounting, investments, Appendix 1 Stora Enso’s employees are encouraged to specific insiders. A separate project-specific Directors. The Board of Directors is responsible purchasing and sales. These responsibilities report any suspected cases of misconduct or insider register is established when required by for overseeing the processes established for have been described in Stora Enso’s Risk and unethical behaviour to their own supervisor, or to the decision of the General Counsel or Assistant monitoring related party transactions. Internal Control Policy which also outlines the Human Resources or Legal functions. Stora Enso General Counsel. responsibilities of the first and second line of uses an additional external service, The Speak Up The insider guidelines do not permit Internal control and risk management defense. Group Internal Control function, under

Hotline, through which employees and any third Stora Enso PDMR’s or persons involved in the related to financial reporting the CFO’s supervision, is responsible for group- Governance party globally can anonymously report potential preparation of interim reports or financial results wide internal control governance and processes, non-compliance cases by phone, mail, or online. and entered into the Closed Period List to buy or Internal control over financial reporting whereas divisions, various support and service This service, which covers all of Stora Enso’s sell any of the Company’s securities (i.e. shares, The system of internal control related to financial functions are accountable for operating effective units, is available 24/7. options and synthetic options) during the closed reporting in the Stora Enso group is based upon internal controls. period defined below or when they possess the framework issued by the Committee of Insider administration information that could have a material impact on Sponsoring Organisations (COSO) and comprises Risk assessment The Company complies with EU and Finnish the Stora Enso share price. five principal components of internal control: the Stora Enso’s management specifies objectives insider regulation as well as the guidelines of control environment, risk assessment, control relating to the preparation of financial statements. Nasdaq Helsinki Oy. The Company’s internal Closed period activities, information and communication, The Company applies an annual process to insider guidelines are published and distributed Stora Enso closed period starts when the and monitoring. establish the overall materiality and to identify throughout the group. Stora Enso’s legal function reporting period ends or 30 days prior to the The internal controls related to financial significant financial statements accounts and and the General Counsel are responsible for the announcement of the results, whichever is earlier reporting are designed to provide reasonable disclosures. Relevant objectives and risks procedures relating to inside administration, and lasts until the results are announced. The assurance regarding the reliability of financial for processes are identified and evaluated to Remuneration including monitoring compliance with applicable dates are published in the financial calendar at reporting and the preparation of financial determine Stora Enso’s minimum internal control regulation, keeping of inside lists and internal storaenso.com/investors. statements in accordance with applicable requirements for all business units and support training. The Company has established an During closed periods Stora Enso PDMR’s or laws and regulations, generally accepted functions. The assessment of risks includes risks Inside Committee composed of the CEO, CFO persons entered into the Company’s Closed Period accounting principles and other requirements related to fraud and irregularities as well as the as well as representatives of Communications List are not allowed to trade in Company securities. for listed companies. risk of loss or the misappropriation of assets. 11 Stora Enso 2020: Governance Strategy Information on the development of essential risk the security of assets and the segregation of for anonymous reporting of violations related to results which are compared against the set Annual Report 2020 areas and executed and planned activities in duties as well as general IT controls. accounting, internal controls and auditing matters. budgets and plans, analytical procedures and key these areas are regularly communicated to the performance indicators. Stora Enso is utilizing Financial and Audit Committee. A comprehensive Information and communication Monitoring an internal control tool to facilitate and automate description of Stora Enso’s risk management can The Company’s information and communication The Company’s financial performance is reviewed internal control processes, control performance, be found at storaenso.com/investors. channels support the completeness and at each Board meeting. The Financial and Audit continuous controls monitoring and quarterly correctness of financial reporting. For example, Committee reviews all Interim Reports and the internal control reporting to management. In Control activities the management communicates information Board approves them before they are released 2020 Stora Enso has increased control validation

Stora Enso’s control activities are the policies, about Stora Enso’s financial reporting objectives, by the CEO. The annual financial statements testing scope and continued harmonising control 2020 Enso Stora in Governance – Corporate Governance guidelines, procedures and organisational financial control requirements, policies and and the Report of the Board of Directors are performance over financial reporting.

structures in place to ensure that management procedures regarding accounting and financial reviewed by the Financial and Audit Committee In addition to the Group Internal Control Sustainability directives are carried out and that necessary reporting to all employees concerned. The and approved by the Board. The effectiveness function, Stora Enso Internal Audit has an Corporate Governance action is taken to address risks related to the management also communicates regular of the process for assessing risks and the independent oversight role on internal control in Stora Enso 2020 achievement of objectives relating to financial updates and briefings regarding changes in execution of control activities are monitored governance. Internal Audit regularly evaluates reporting. Stora Enso’s minimum internal control accounting policies and reporting and disclosure continuously at various levels. Information on the implementation level of policies and Shareholders’ meetings requirements are aimed at preventing, detecting requirements. Subsidiaries and operational units the development of essential risk areas and guidelines as well as the effectiveness and Board of Directors (Board) and correcting material accounting and disclosure make regular financial and management reports executed and planned activities in these areas efficiency of Stora Enso’s governance, risk Board committees errors and irregularities and are performed on all to the management, including the analysis of and are regularly communicated to the Financial and management and system of internal control company levels. They include a range of activities comments on financial performance and risks. Audit Committee. Monitoring involves both formal over financial reporting according to the Internal Management of the Company such as approvals, authorisations, verifications, The Board receives monthly financial reports. The and informal procedures applied by management Audit charter, approved by The Financial and Internal control and risk management reconciliations, reviews of operating performance, Company has internal and external procedures and processes owners, including reviews of Audit Committee. related to financial reporting

Members of the Board Financials of Directors

Members of the Group Leadership Team

Appendix 1 Governance Remuneration 12

Members of the Board of Directors Stora Enso 2020: Governance Strategy Annual Report 2020

FAC = Financial and Audit Committee RemCo = Remuneration Committee SECo = Sustainability and Ethics Committee

Chair Member

1 Detailed description of remuneration for Board and Committee memberships Directors of Board the of – Members Governance as decided by the AGM in 2020 in

Remuneration Report on page 4. Sustainability 2 Shares held by Board members and Corporate Governance related parties. Board members’ related parties held no Stora Enso shares. in Stora Enso 2020 Jorma Eloranta Hans Stråberg Håkan Buskhe Elisabeth Fleuriot Hock Goh 3 Meetings attended out of the meetings Born 1951. M.Sc. (Tech.), Born 1957. M.Sc. (Eng.). Born 1963. M.Sc. (Eng.), Born 1956. M.Sc. (Econ.). Born 1955. B. Eng. (Hons) in held after election as Board member. Shareholders’ meetings D.Sc. (Tech.) h.c. Licentiate of Engineering. Mechanical Engineering. 4 Meetings attended out of the meetings Position Position held after election as SECo member. Board of Directors (Board) 5 Håkan Buskhe is independent of Position Vice Chair of Stora Enso’s Board Position Member of Stora Enso’s Board of Position the company but not of its significant Board committees Chair of Stora Enso’s Board of of Directors since April 2017 and Member of Stora Enso’s Board of Directors since April 2013. Member Member of Stora Enso’s Board of shareholders due to his position as the Directors since April 2017, Vice Chair member since April 2009. Member Directors since June 2020. Member of the Financial and Audit Committee Directors since April 2012. Member CEO of FAM AB. Management of the Company 6 April 2016–April 2017. Member of of Shareholders’ Nomination Board of the Sustainability and Ethics since March 2019. of the Financial and Audit Committee Meetings attended out of the meetings Internal control and risk management Shareholders’ Nomination Board since since April 2017. Member of the Committee since June 2020. since June 2020. held after election as FAC member. related to financial reporting April 2016. Chair of the Remuneration Remuneration Committee since Board memberships The independence is evaluated in Committee since April 2017 and March 2010. Board memberships Board member and Chair of CSR Board memberships accordance with Recommendation 10 of

Members of the Board member since April 2016. Member of Chair of the Board of Directors of IPCO Committee at G4S. Chair of the Board Member of the Board of AB SKF, the Finnish Corporate Governance Code. Financials the Financial and Audit Committee Board memberships AB. Member of the Board of AB SKF, of Ynsect and Foundation Caritas. Santos Australia and Vesuvius Plc. The full recommendation can be found of Directors at cgfinland.fi. A significant shareholder since April 2017. Chair of the Board of Atlas Copco Munters Group and Kopparfors Skogar. according to the recommendation is AB, Roxtec AB, CTEK Holding AB Principal work experience Principal work experience a shareholder that holds at least 10% of Members of the Group Board memberships and AB SKF. Member of the Board Principal work experience and other information and other information all company shares or the votes carried Leadership Team Chair of the Board of Finnish Fair of Investor AB, Mellby Gård AB, and other information Senior advisor at Astanor Venture Operating Partner of Baird Capital by all the shares or a shareholder that Foundation. Vice Chair of the Supervisory and Anocca AB. CEO of FAM AB. CEO and President Capital. President and CEO of Thai Partners Asia 2005–2012. President of has the right or the obligation to purchase the corresponding number of already Board in Finnish Naval Foundation. Chair of SAAB AB 2010–2019 and E.ON Union Europe Africa 2013–2017. Network and Infrastructure Solutions, Appendix 1 issued shares. of the Board and CEO of Pienelo Ltd. Principal work experience Nordic 2008–2010. Executive positions Senior Vice President, Emerging Schlumberger Ltd 2002–2005 and and other information in E.ON Sweden 2006–2008, CEO of Markets and Regional Vice President, President Asia, Schlumberger Ltd Principal work experience President and CEO of AB Electrolux the logistics company Schenker North France, Benelux, Russia and Turkey, 1998–2002. and other information 2002–2010. Several management 2001–2006, as well as several positions in Kellogg Company 2001–2013. President and CEO of Metso positions at Electrolux in Sweden in Storel AB 1998–2001, Carlsberg General Manager, Europe, in Yoplait,

2004–2011, President and CEO of and the USA 1983–2002. A/S 1994–1998 and Scansped AB Sodiaal Group 1998–2001. Several Total remuneration 90 800 Governance 1 Kvaerner Masa-Yards 2001–2003 and 1988–1994. management positions in Danone 2020, EUR President and CEO of Patria Industries Group 1979–1997. Meeting attendance 14/14 6 Group 1997–2000. Executive Vice Total remuneration 118 400 FAC attendance 4/4 1 President of Finvest Group and Jaakko 2020, EUR Total remuneration 82 400 RemCo attendance 1 Pöyry Group 1996 and President of Meeting attendance 14/14 2020, EUR Total remuneration 90 800 SECo attendance 3 1 Finvest 1985–1995. FAC attendance Meeting attendance 6/6 2020, EUR Shareholding 31 265 R shares RemCo attendance 6/6 FAC attendance Meeting attendance 12/14 in Stora Enso2 SECo attendance RemCo attendance FAC attendance 7/8 Independent member Yes Total remuneration 222 400 Shareholding 45 389 R shares SECo attendance 2/24 RemCo attendance 2020, EUR1 in Stora Enso2 Shareholding 2 781 R shares SECo attendance Meeting attendance 14/14 Independent member Yes in Stora Enso2 Shareholding 26 512 R shares FAC attendance 8/8 Independent member Yes/no5 in Stora Enso2 RemCo attendance 6/6 Independent member Yes SECo attendance Remuneration Shareholding 1 150 A shares, in Stora Enso2 34 285 R shares Independent member Yes 13 Stora Enso 2020: Governance Strategy

Annual Report 2020

FAC = Financial and Audit Committee RemCo = Remuneration Committee SECo = Sustainability and Ethics Committee

Chair Member

1 Detailed description of remuneration for Board and Committee memberships Directors of Board the of – Members Governance as decided by the AGM in 2020 in

Remuneration Report on page 4. Sustainability 2 Shares held by Board members and Corporate Governance related parties. Board members’ related parties held no Stora Enso shares. in Stora Enso 2020 Mikko Helander Christiane Kuehne Antti Mäkinen Richard Nilsson 3 Meetings attended out of the meetings Born 1960. M.Sc. (Tech.). Born 1955. LL.M., B.B.A. Born 1961. LL.M. Born 1970. B.Sc. (BA and Econ.). held after election as SECo member. Shareholders’ meetings 4 Antti Mäkinen is independent of the Position Position Position Position company but not of its significant shareholders due to his position as the Board of Directors (Board) Member of Stora Enso’s Board of Member of Stora Enso’s Board of Member of Stora Enso’s Board of Member of Stora Enso´s Board of CEO of Solidium Oy. Board committees Directors since March 2019. Member Directors since April 2017. Chair Directors since March 2018. Member Directors since April 2014. Chair of 5 Richard Nilsson is independent of of the Sustainability and Ethics of the Sustainability and Ethics of the Remuneration Committee since the Financial and Audit Committee the company but not of its significant Management of the Company Committee since June 2020. Committee since March 2019. March 2019. since April 2016 and member since shareholders due to his employment at Internal control and risk management April 2015. FAM AB. related to financial reporting Board memberships Board memberships Board memberships The independence is evaluated in Vice Chair of the Board of the Member of the Board of James Finlays Member of the Board of Rake Oy, Board memberships accordance with Recommendation 10 of

Members of the Board Confederation of Finnish Industries Ltd, Wetter Foundation and Foundation Metso Outotec Oyj and Sampo Oyj. Member of the Board of Directors the Finnish Corporate Governance Code. Financials EK. Vice Chair of the Board of Finnish Pierre du Bois. Chair or a member of the shareholders’ of IPCO AB and group companies, The full recommendation can be found of Directors at cgfinland.fi. A significant shareholder Commerce Federation as of 1 January nomination boards of several and Cinder Invest AB. according to the recommendation is 2021. Chair of the Board of Rajamme Principal work experience listed companies. a shareholder that holds at least 10% of Members of the Group Vartijain Säätiö foundation. Member of and other information Principal work experience all company shares or the votes carried Leadership Team the Finnish Chambers of Commerce Operative roles within the Nestlé Group Principal work experience and other information by all the shares or a shareholder that and Climate Leadership Coalition. 1977–2015. Her last operative role and other information Investment Manager at FAM AB since has the right or the obligation to purchase the corresponding number of already Member of the Delegation of Finnish at Nestlé was as Head of Strategic CEO of Solidium Oy since 2017. 2008. Pulp & paper research analyst Appendix 1 issued shares. Business and Policy Forum EVA. Business Unit Food with strategic Several leading management positions at SEB Enskilda 2000–2008, Alfred Member of the supervisory Board of responsibility for the food business of within Nordea Corporate & Investment Berg 1995–2000 and Handelsbanken Göran Sandberg was Member of Finnish Fair Foundation. Nestlé at global level. Banking, most notably as Head of 1994–1995. Stora Enso’s Board of Directors since Corporate Finance in Finland, Head April 2017 until his resignation on 4 June 2020. Sandberg has participated in all Principal work experience of Strategic Coverage unit and as Board and relevant Committee meetings and other information Total remuneration 86 600 Co-Head for Corporate & Investment Total remuneration 97 200 held during 2020 prior to his resignation. Governance 1 1 President and CEO of Kesko Oyj 2020, EUR Banking, Finland 2010–2017. CEO of 2020, EUR He was independent of the company since 2015. CEO of Metsä Board Oyj Meeting attendance 14/14 eQ Corporation and its main subsidiary Meeting attendance 14/14 but not of its significant shareholders due to his position as executive director 2006–2014 and Metsä Tissue Oyj FAC attendance eQ Bank Ltd. 2005–2009. FAC attendance 8/8 RemCo attendance RemCo attendance of majority shareholders of FAM AB, 2003–2006. Several management a significant shareholder of the company. positions in Valmet Oyj 1984–1990 SECo attendance 4/4 SECo attendance and 1993–2003. Managing Director of Shareholding 11 073 R shares Total remuneration 82 400 Shareholding 23 615 R shares 2 1 2 Kasten Hövik Oy 1990–1993. in Stora Enso 2020, EUR in Stora Enso Independent member Yes Meeting attendance 14/14 Independent member Yes/no5 FAC attendance Total remuneration 82 400 RemCo attendance 6/6 2020, EUR1 SECo attendance Meeting attendance 14/14 Shareholding 7 498 R shares FAC attendance in Stora Enso2

RemCo attendance Independent member Yes/no4 Remuneration SECo attendance 2/23 Shareholding 7 079 R shares in Stora Enso2 Independent member Yes 14

Members of the Group Leadership Team Stora Enso 2020: Governance Strategy Annual Report 2020

Governance Team Leadership Group the of – Members Sustainability

Corporate Governance in Stora Enso 2020 Shareholders’ meetings Annica Bresky Seppo Parvi Tobias Bäärnman David Ekberg Johanna Hagelberg Board of Directors (Board) Born 1975. M.Sc. (Engineering), MBA. Born 1964. M.Sc. (Econ.). Born 1977. M.Sc. (Econ.). Born 1975. B.Sc. (Business Administration). Born 1972. M.Sc. (Industrial Eng. & Mgmt) and M.Sc. (Eng. and Mgmt of Board committees Position Position Position Position Manufacturing Systems). Management of the Company President and Chief Executive Officer Chief Financial Officer (CFO), Deputy CEO. Chief Strategy and Innovation Officer. Executive Vice President, Packaging (CEO). Member of the GLT since 2017. Country Manager Finland and member of Member of the GLT since 1 November Solutions. Member of the GLT since 1 April Position Internal control and risk management Joined the company in 2017. President and the GLT since 2014. Joined the company 2020. Joined the company in 2017. 2020. Joined the company in 2017. Executive Vice President, Sourcing and related to financial reporting CEO since 1 December 2019. in 2014. Logistics. Member of the GLT since 2014. Board memberships, principal work Board memberships, principal work Joined the company in 2013.

Members of the Board Board memberships, principal work Board memberships, principal work experience and other information experience and other information Financials of Directors experience and other information experience and other information SVP Controlling, Strategy and IT for Acting Head of Stora Enso Packaging Board memberships, principal work Executive Vice President, Consumer CFO and EVP, Food and Medical Business Consumer Board division 2017–2019. Solutions until 31 March 2020. Senior experience and other information Board Division 2017–2019. President and Area at Ahlstrom Corporation 2009–2014. Prior to that Finance Director at Iggesund Vice President and Head of Business SVP Sourcing, Stora Enso Printing and Members of the Group CEO of Iggesund Paperboard AB, part of CFO for Metsä Board (M-real) 2006–2009. Paperboard and various positions at Statoil Unit Nordic Packaging at Stora Enso Living 2013–2014. Chief Procurement Leadership Team the Swedish Holmen Group 2013–2017. Prior to that various line management and Procter and Gamble. 2018–2019. Senior Vice President and Officer at Vattenfall AB 2010–2013. Prior Mill Director at BillerudKorsnäs AB positions at the packaging company Head of Finance and IT Packaging Solution to that leading Sourcing positions at Appendix 1 2010–2013. Prior to that engineering and Huhtamäki, including responsibilities Shareholding in Stora Enso at Stora Enso 2017–2018. Executive Vice NCC, RSA Scandinavia and within the superintendent positions at Stora Enso’s such as paper manufacturing within Rigid 0 President / CFO / COO at Climeon AB Automotive Industry. Member of the Board Kvarnsveden Mill in 2001–2010. Member of Packaging Europe and General Manager 2015–2017. Several management positions of Bufab AB. the Board of AB Fagerhult. for Turkey. Chair of the Board of the at Ericsson Group 1997–2015. Finnish Forest Industries Federation as Shareholding in Stora Enso Shareholding in Stora Enso of 1 January 2021. Deputy Chair of the Shareholding in Stora Enso 24 795 R shares 14 511 R shares Board of Pohjolan Voima Oy. Member of 625 R shares Governance the Board of Ilmarinen and East Office of Finnish Industries Oy.

Shareholding in Stora Enso 46 401 R shares Remuneration 15 Stora Enso 2020: Governance Strategy

Annual Report 2020

Governance Team Leadership Group the of – Members Sustainability

Corporate Governance in Stora Enso 2020 Shareholders’ meetings Kati ter Horst Hannu Kasurinen Katariina Kravi Ulrika Lilja Per Lyrvall Board of Directors (Board) Born 1968. MBA (International Business), Born 1963. M.Sc. (Econ.). Born 1967. LL.M., Trained on the Bench. Born 1975. M.Sc. (BA and Econ.). Born 1959. LL.M. M.Sc. (Econ.). Board committees Position Position Position Position Management of the Company Position Executive Vice President, Packaging Executive Vice President, HR. Member of Executive Vice President, Communications Executive Vice President, Legal, General Executive Vice President, Paper Division. Materials Division. Member of the GLT the GLT since 1 September 2020. Joined and Marketing. Member of the GLT since Counsel. Country Manager Sweden since Internal control and risk management Member of the GLT since 2014. Joined since 2019. Joined the company in 1993. the company 1 September 2020. 2014. Joined the company in 2014. 2013. Member of the GLT since 2012. related to financial reporting the company in 1996. Joined the company in 1994. Board memberships, principal work Board memberships, principal work Board memberships, principal work

Members of the Board Board memberships, principal work experience and other information experience and other information experience and other information Board memberships, principal work Financials of Directors experience and other information Several leadership positions in Stora Enso, EVP, HR and Chief People and Culture Senior Vice President Communications, experience and other information Senior Vice President, Paper Sales, including EVP and SVP, Liquid Packaging Officer at Tieto Oyj 2012–2020. Prior to Stora Enso Printing and Living in 2014. Legal Counsel 1994–2008. Prior to joining Stora Enso Printing and Living until 2014. and Carton Board in Consumer Board that several HR management positions Director of External Communications Stora Enso legal positions at Swedish Members of the Group Prior to that several managerial positions Division, Group Treasurer, SVP of Strategy at Nokia. at SSAB 2010–2013. Prior to that courts, law firms and Assi Domän. Member Leadership Team in the paper business. Chairman of the and EVP of Wood Products Division. several leading communications of the Board of Montes del Plata. Deputy Board of EURO-GRAPH asbl. Member Shareholding in Stora Enso positions at OMX Stockholm Stock Member of the Board of Skogsindustrierna. Appendix 1 of the Board of Outokumpu Oyj, Finnish Shareholding in Stora Enso 0 Exchange and Neonet. Member of Forest Industries Federation and Climate 35 486 R shares the Board of Swedish Association of Shareholding in Stora Enso Leadership Coalition. Communication Professionals. 69 199 R shares directly, 1 257 R shares through related persons (spouse) Shareholding in Stora Enso Shareholding in Stora Enso 56 467 R shares 20 067 R shares Governance Remuneration 16 Stora Enso 2020: Governance Strategy

Annual Report 2020

Governance Team Leadership Group the of – Members Sustainability

Corporate Governance in Stora Enso 2020 Shareholders’ meetings Markus Mannström Teemu Salmi Annette Stube Jari Suominen Lars Völkel Board of Directors (Board) Born 1963. M.Sc. (Paper Tech.). Born 1973. B.Sc. (Computer Science). Born 1967. Master’s degree in psychology. Born 1969. M.Sc. (BA). Born 1975. M.Sc. (BA), leadership degree from Hult Ashridge Business School. Board committees Position Position Position Position Management of the Company Executive Vice President, Biomaterials CIO, Head of IT & Digitalisation. Member Executive Vice President, Sustainability. Executive Vice President, Forest Division. Position Division. Member of the GLT since 2015. of the GLT since 1 November 2020. Joined Member of the GLT since 1 September 2020. Member of the GLT since 2014. Joined Executive Vice President, Wood Products Internal control and risk management Joined the company in 2001. the company in 2017. Joined the company 1 September 2020. the company in 1995. Division. Member of the GLT since 1 July related to financial reporting 2020. Joined the company 1 July 2020. Board memberships, principal work Board memberships, principal work Board memberships, principal work Board memberships, principal work

Members of the Board experience and other information experience and other information experience and other information experience and other information Board memberships, principal work Financials of Directors Chief Technology Officer (CTO) of Various executive positions at Ericsson, Head of Sustainability in A.P. Moller– Executive Vice President, Wood Products experience and other information the company 2015–2017. Member most recently as SVP and Head of business Maersk 2008–2020. Prior to that Director Division until 2019. Senior Vice President, CEO of Ambibox GmbH 2018–2020. CEO of the Renewable Packaging division unit IT & Cloud in Middle East & Africa. of Sustainability programmes in Novo Head of Building and Living Business Area of Franke Kitchen Systems 2014–2017. Members of the Group management team 2009–2014. Member Nordisk. Member of the Board of Fortum. until 2014. Prior to that several managerial EVP Luxury retail & CEO of Poggenpohl Leadership Team of the Board of Teollisuuden Voima Oyj, Shareholding in Stora Enso positions in paper and wood products at Nobia 2011–2014. Has held various Montes del Plata, Veracel and Tree to 6 620 R shares Shareholding in Stora Enso businesses. Chair of Finnish Wood managerial positions at Electrolux incl. Appendix 1 Textile. Deputy Member of the Board of 0 Products Industry Association. Member VP Western Europe. Pohjolan Voima Oy. of the supervisory board of Varma Mutual Pension Insurance Company. Deputy Shareholding in Stora Enso Shareholding in Stora Enso Member of the Board of East Office of 0 25 251 R shares Finnish Industries Oy.

Shareholding in Stora Enso Governance 49 002 R shares Remuneration

Malin Bendz, EVP HR, was a member of GLT until 15 January 2020. Per Lyrvall, acting Head of HR 16 January–31 August 2020. Seppo Toikka, acting Head of Wood Products until 30 June 2020. Was not a member of GLT. Noel Morrin, EVP Sustainability, was a member of the GLT until 31 August 2020. 17

Appendix 1 Stora Enso 2020: Governance Strategy Annual Report 2020 Due to differences between the Swedish and Finnish legislation, governance code rules and corporate governance practices Stora Enso’s Corporate Governance deviates in the following aspects from the Swedish Corporate Governance Code:

Rule 1.3 The company’s nomination committee is Rule 9.9 Guidelines regarding remuneration to 1 – Appendix Governance to propose a chair for the annual general meeting. the board and executive management are also

The proposal is to be presented in the notice of to cover salary and other remuneration to other Sustainability the meeting. members of the executive management. Corporate Governance • According to Finnish annual general meeting • According to the Finnish Code, in Stora Enso 2020 (AGM) practice, the Chair of the Board of the remuneration guidelines (called policy Directors opens the meeting and proposes according to the Finnish Code) is not to cover Shareholders’ meetings the chair for the AGM. The proposed chair is other executives than the CEO and Deputy Board of Directors (Board) normally an attorney-at-law. CEO, and shall cover all Board remuneration. Board committees Rule 2.1 The nomination committee is also to Rule 10.5 The remuneration report is to contain Management of the Company make proposals on the election and remuneration a reference to where in the company’s annual Internal control and risk management of the statutory auditor. report the information required by Chapter 5, related to financial reporting • According to the Finnish Code, the Sections 40–44 of the Swedish Annual Accounts Financial and Audit Committee shall make Act (1995:1554) is to be found. Members of the Board a recommendation on the auditor election for • The Company reports in accordance with Financials of Directors the Board, which shall give its proposal on the Finnish accounting regulation and the matter to the AGM. does therefore not include this note in it’s Members of the Group remuneration report. Leadership Team Rule 9.6 The shareholders’ meeting is to decide on all share and share-price related incentive Appendix 1 schemes for the executive management. • The company’s incentive schemes are established by the Board of Directors. If the programmes include the issuance of new shares or disposal of shares held by the

Company then such issuance of share or Governance an authorisation to the Board of Directors to decide on such issuance of shares will be subject to shareholder approval. Remuneration Strategy Sustainability Financials Governance Remuneration Miltton Oy Magnus Glans, Alexandra Lechner, Mikko Ryhänen, Niklas Sandström, Heidi Strengell, Strengell, Heidi Sandström, Niklas Ryhänen, Mikko Lechner, Alexandra Glans, Magnus Concept and design: Photography: Fond. & Fond and Photographers, Guzzmann & Tobisch It should be noted that Stora Enso and its business are exposed to various risks and uncertaintiesand certain statements herein which are not historical profitability; and facts, growth for expectations including, developments; and growth market without for expectations regarding limitation those and statements preceded by “believes”, “expects”, “anticipates”, “foresees”, or similar expressions,are forward-looking statements. Since these statements are based on currentprojections, plans, estimates they involve and risks and uncertainties, which may cause actual resultsfrom those to materially expressed differ in such forward-looking statements. Such factors operating include, (1) to: but factors are not limited such as continued success ofmanufacturing activities andof the efficiencies achievement therein, continued success of product development, acceptanceor services of new products by the Group’s targeted customers, success of the existing and future collaborationarrangements, changes in business strategy or development plans or targets,of protection changes created in the degree by the Group’s patents and other intellectual property rights,capital the availability on acceptable of terms; (2) industry conditions, such as strength of productof competition, demand, intensity prevailing and future global market prices for the Group’s products andpressures the pricing thereto, price fluctuations in raw materials, financial conditioncompetitors of the customers of the Group,and the the potential introduction of competing products and technologiescompetitors; by and (3) general economic conditions, such as rates of economic growthprincipal in the Group’s geographic markets or fluctuations in exchange and interest rates. onAll management’s statements bestare based assumptions and beliefs in light of the information currentlyStora available Enso assumes to it and no obligation to publicly update or revise any forward-looking extentto the statement legally except required. Stora Enso Oyj Stora Box 309 P.O. Finland FI-00101 Helsinki, 1 Kanavaranta Visiting address: +358 2046 131 Tel. AB Stora Enso Box 70395 P.O. Sweden SE-107 24 Stockholm, Center Trade World Visiting address: 70, C4 Klarabergsviadukten +46 1046 46 000 Tel. storaenso.com [email protected] Annual Report 2020 Report Annual